Independents fight back in fuel war
Independent petrol stations in the Black Country have taken on the supermarkets and cut the price of unleaded to 99.9 per litre, signalling a forecourt price war.
Asda and Morrisons both cut fuel prices to just under £1 per litre at tlast week, with Asda stating there little justification to charge more at its 176 garages following a drop in wholesale prices.
Vic Gajjar, aged 50, proprietor of Heath Service Station, in Lichfield Road, Shelfield, Walsall, which is supplied by Esso, dropped unleaded petrol to 99.9p from 101.9p tow days ago, and diesel to £1 from £102.9.
"We are trying to match the supermarkets to help out customers during the credit crunch," said Mr Gajjar, who has run petrol stations for 30 years.
"We have heard a lot of drivers complaining about the rising fuel prices and the effect it's having on their pockets,"
Wall Heath Service Station, in Kidderminster Road, Kingswinford, is charging 99.9p for both unleaded and diesel.
Owner Simon Wallis, aged 49, who has run the site for 15 years, said that for independent stations the market can fluctuate day to day.
"When the price of wholesale petrol goes down, it is often the independents that lead the way when reducing prices.
"But as you would expect, when prices goes up, our margins are so close that we have to bring our prices up.
"Our prices have been under £1 for two weeks now as demand has been so high recently."
Mr Wallis added: "I think our prices should be low for a while."
At Royal Oak Filling Station, in Blackhalve Lane, Wednesfield, the unleaded has also dropped to 99.9p.
In Sandwell, drivers are able to buy both petrol and diesel for under £1 at Morrisons, in Trouse Lane, Wednesbury, and at BP, at the Swan island, West Bromwich. Both are both selling petrol and diesel for 99.9p a litre.
Paul Cope, manager at the Morrisons garage, said: "As soon as we heard Asda were dropping their prices we dropped ours.
"We do get a few customers who say it's nice to have the cheaper prices."
The independents were today backed by the AA monitors the effects of fuel price rises on motorists' spending trends.
"Hats off to these retailers because they are passing on the cut in wholesale prices that we have seen in recent days," said AA spokesman Luke Bosdet.
